Par. 202. Penalty for making false claims against the United States. Par. 213. 203. Suits for recovery of same. 204. Duty of district attorney as to such cases. 214. 205. Rights of persons bringing such suits. 206. Limitation of suit. 207. Payments to officers for horses lost in battle. 208. Payment for property lost in military service. 209. Payment for horses lost by capture. 210. Payment for condemned horses and equipage. 211. Payment to guardian for horse lost by minor. 215. 212. Payment to owner for horse PRIORITY OF DEBTS DUE THE UNITED STATES. debts due the established. 20, s. 5, v. 1. p. 515; s. 65, v. 1, p. 676. Sec. 3466, R. S. 184. Whenever any person indebted to the United States Priority of is insolvent, or whenever the estate of any deceased debtor, United States in the hands of the executors or administrators, is insuffi- Mar. 3, 1797, c. cient to pay all the debts due from the deceased, the debts Mar, 2, 1799, c. 22, due to the United States shall be first satisfied; and the priority hereby established shall extend as well to cases in which a debtor, not having sufficient property to pay all his debts, makes a voluntary assignment thereof, or in which the estate and effects of an absconding, concealed, or absent debtor are attached by process of law, as to cases in which an act of bankruptcy is committed.' the ecutors, etc. Pt. 182: Brent Field . U. S., 9 ington, 10 Pet., 596. 185. Every executor, administrator, or assignee, or other Liability of experson, who pays any debt due by the person or estate from whom or for which he acts, before he satisfies and pays debts due to the United States from such person or estate, shall become answerable in his own person and estate for the debts so due to the United States, or for so much thereof as may remain due and unpaid. (See sec. 5101, R. S.) 186. Whenever the principal in any bond given to the United States is insolvent, or whenever, such principal being deceased, his estate and effects which come to the 2, s. 65, v. 1, p. hands of his executor, administrator, or assignee, are insufficient for the payment of his debts, and, in either of such cases, any surety on the bond, or the executor, ad JU. S. r. Fisher. 2 Cr., 358; U. S. v. Hooe, 3 Cr., 73: Harrison v. Slerry, 5 Cr., 289; Prince r. Bartlett, 8 Cr., 431; U. S. r. Bryan, 9 Cr., 374; Thelusson e. Smith, 2 Wh., 396, U. S. v. Howland, 4 Wh.,108; Conad r. Insurance Company, 1 Pet., 386: Hunter U. S., 5 Pet.. 173; U. S. r. State Bank. 6 Pet.. 29: U. S. v. Hack, 8 Pet., 271: Brent v. Bank of Washington, 10 Pet., 596; Beaston r. Farmers' Bank, 12 Pet., 102; U. S. . Herron, 20 Wall., 251; Bayne et al., Trustees, v. U. S., 93 U. S., 642. Sec. 3467, R. S. sureties. 676. Sec. 3468, R. S. Notice of principal's deficiency communicated to Act Aug. ministrator, or assignee of such surety pays to the United States the money due upon such bond, such surety, his executor, administrator, or assignee, shall have the like priority for the recovery and receipt of the moneys out of the estate and effects of such insolvent or deceased principal as is secured to the United States; and may bring and maintain a suit upon the bond, in law or equity, in his own name, for the recovery of all moneys paid thereon.1 SURETIES LIABILITY AND RELEASE. 187. Hereafter, whenever any deficiency shall be distobe immediately covered in the accounts of any official of the United States, sureties. or of any officer disbursing or chargeable with public 1888, v. 25, p. 787. money, it shall be the duty of the accounting officers making such discovery to at once notify the head of the Department having control over the affairs of said officer of the nature and amount of said deficiency, and it shall be the immediate duty of said head of Department to at once notify all obligors upon the bond or bonds of such official of the nature of such deficiency and the amount thereof. Said notification shall be deemed sufficient if mailed at the post-office in the city of Washington, District of Columbia, addressed to said sureties respectively, and directed to the respective post offices where said obligors may reside, if known; but a failure to give or mail such notice shall not discharge the surety or sureties upon such bond. Act of August 8, 1888 (25 Stat. L., 357). Sureties released after five years sit. Sec. 2, ibid. 188. That if, upon the statement of the account of any without official of the United States, or of any officer disbursing or chargeable with public money, by the accounting oflicers of the Treasury, it shall thereby appear that he is indebted to the United States, and suit therefor shall not be instituted within five years after such statement of said account, the sureties on his bond shall not be liable for such indebtedness. Sec. 2, ibid. Compromise of claims. Mar. 3, 1863, c. 76, s. 10, v. 12, p. 740 COMPROMISE OF CLAIMS AND PURCHASE ON EXECUTION. 189. Upon a report by a district attorney, or any special attorney or agent having charge of any claim in favor of the United States, showing in detail the condition of such claim, and the terms upon which the same may be comSec. 3469, R. S. promised, and recommending that it be compromised upon U.Sr George, 6 Blatch., 406. The priority given in this section to sureties does not apply to sureties on a recog. nizance in a criminal case. U. S. v. Rydor, 110 U. S., 729, U. S. e. Fisher, 2 Cr., 358; U. S. r. Hooe, 3 Cr., 73; Prince v. Bartlett, 8 Cr.. 431; U. S. r. Bryan, 9 Cr, 374; The. lusson v. Smith, 2 Wh., 396; U. S. r. Howland, 4 Wh., 198; Conard v. Insurance Coinpany, 1 Pet., 439; Hunter e. U. S., 5 Pet.. 173; Child v. Shoemaker, 1 Wash., 494; U. S. . King, Wall. C. C., 12; Johns v. Brodhag, 1 Cr. C. C., 235. the terms so offered, and upon the recommendation of the Solicitor of the Treasury, the Secretary of the Treasury is authorized to compromise such claim accordingly. But the provisions of this section shall not apply to any claim arising under the postal laws. 190. At every sale, on execution, at the suit of the United States, of lands or tenements of a debtor, the United States may, by such agent as the Solicitor of the Treasury shall appoint, become the purchaser thereof; but in no case shall the agent bid in behalf of the United States a greater amount than that of the judgment for which such estate may be exposed to sale, and the costs. Whenever such purchase is made, the marshal of the district in which the sale is held shall make all needful conveyances, assignments, or transfers to the United States. DISCHARGE OF POOR DEBTORS. 191. Any person imprisoned upon execution issuing from any court of the United States, for a debt due to the United States, which he is unable to pay, may, at any time after commitment, make application in writing, to the Sec. retary of the Treasury, stating the circumstances of his case, and his inability to discharge the debt; and thereupon the Secretary may make, or require to be made, an examination and inquiry into the circumstances of the debtor, by the oath of the debtor, which the Secretary, or any other person by him specially appointed, is authorized to administer, or otherwise, as the Secretary shall deem necessary and expedient, to ascertain the truth; and upon proof made to his satisfaction, that the debtor is unable to pay the debt for which he is imprisoned, and that he has not concealed or made any conveyance of his estate, in trust, for himself, or with an intent to defraud the United States, or to deprive them of their legal priority, the Secretary is authorized to receive from such debtor any deed, assignment, or conveyance of his real or personal estate, or any collateral security, to the use of the United States. Upon a compliance by the debtor with such terms and conditions as the Secretary may judge reasonable and proper, the Secretary must issue his order, under his hand, to the keeper of the prison, directing him to discharge the debtor from his imprisonment under such execution. The debtor shall not be liable to be imprisoned again for the debt; but the judgment shall remain in force, and may be satisfied out of any estate which may then, or at any time afterward, belong to the debtor. The benefit of this section Purchase on execution. May 26, 1824, c. 172, s. 2, v. 4, p. 51. Sec. 3470, R. S. Discharge of Secretary of the poor debtor by Treasury. June 6, 1798, c. pp. 561, 52. 49, ss. 1, 3, v. 1, sec. 3471, R. S. Discharge by the President. 114, v. 3, p. 399. shall not be extended to any person imprisoned for any fine, forfeiture, or penalty, incurred by a breach of any law of the United States, or for moneys had and received by any officer, agent, or other person, for their use; nor shall its provisions extend to any claim arising under the postal laws.1 192. Whenever any person is imprisoned upon execution Mar. 3, 1817, c. for a debt due to the United States, which he is unable to Sec. 3472, R. S. pay, and his case is such as does not authorize his discharge by the Secretary of the Treasury, under the preceding section, he may make application to the President, who, upon proof made to his satisfaction that the debtor is unable to pay the debt, and upon a compliance, by the debtor with such terms and conditions as the President shall deem proper, may order the discharge of such debtor from his imprisonment. The debtor shall not be liable to be imprisoned again for the same debt; but the judgment shall remain in force, and may be satisfied out of any estate which may then, or at any time afterward, belong to the debtor.2 TENDER. What coin receivable in pay the United States. 193. No gold or silver other than coin of standard finement of dues to ness of the United States, shall be receivable in payment of dues to the United States, except as provided in section twenty-three hundred and sixty-six, Title "PUBLIC 1857, C. 56, s. 2, 3, LANDS," and in section thirty-five hundred and sixty-seven, Title "COINAGE, WEIGHTS, AND MEASURES."3 Aug. 31, 1852, c. 108, s. 2, v. 10, pp. 97, 98; Feb. 21, v. 11, p. 163. Sec. 3474, R. S. ceivable. 194. The notes of national banks shall be received at notes, when re- par for all debts and demands owing by the United States June 3 1864. c. to any person within the United States, except interest on the public debt, or in redemption of the national currency. Sec. 3475, R. S. (See sec. 5182, R. S.) 106, s. 23, v. 13, p. 106. Treasury notes payable for debts 195. Treasury notes bearing interest may be paid to any of United States. creditor of the United States at their face value, excluding 73, s. 2, v. 12, p. interest, or to any creditor willing to receive them at par, 1864. c. 172, s. 2, v. including interest. Mar. 3, 1863, c. 710; June 30, 13, p. 218. Sec. 3476, R. S. Assignments of claims void, Feb. 26, 1853, c. ASSIGNMENTS OF CLAIMS, POWERS OF ATTORNEY. 196. All transfers and assignments made of any claim unless, etc. upon the United States, or of any part or share thereof, 81, s. 1. v. 10. p. or interest therein, whether absolute or conditional, and c. 66, v. 9, p. 41. whatever may be the consideration therefor, and all powers of attorney, orders, or other authorities for receiving pay 170; July 29, 1846, Sec. 3477, F R.S. The discharge of a debtor in accordance with the provisions of this section does not operate to discharge his sureties from liability. (1 Paine, 525.) See also U. S. v. Stansbury, 1 Pet., 573; U. S. v. Ringgold, 5 Pet., 150; Hunter v. U. S., 5 Pet., 173; U.S. v. Sturges, 1 Paine, 525. 2 See U. S. v. Ringgold, 8 Pet., 150. 3 See sections 2366 and 3567 of the Revised Statutes. ment of any such claim, or of any part or share thereof, shall be absolutely null and void, unless they are freely made and executed in the presence of at least two attesting witnesses, after the allowance of such a claim, the ascertainment of the amount due, and the issuing of a warrant for the payment thereof. Such transfers, assignments, and powers of attorney, must recite the warrant for payment, and must be acknowledged by the person making them, before an officer having authority to take acknowledgments of deeds, and shall be certified by the officer; and it must appear by the certificate that the officer, at the time of the acknowledgment, read and fully explained the transfer, assignment, or warrant of attorney to the person acknowledging the same.1 SET-OFF. Amount of debt States to be with due United held by Secre debtor against Act Mar. 3, 197. When any final judgment recovered against the United States or other claim duly allowed by legal authority, shall be presented to the Secretary of the Treasury for tary of Treasury in paying judg. payment, and the plaintiff or claimant therein shall be ments. etc., of indebted to the United States in any manner, whether as United States. principal or surety, it shall be the duty of the Secretary to 1875, v. 18, p. 481. withhold payment of an amount of such judgment or claim equal to the debt thus due to the United States; and if such plaintiff or claimant assents to such set-off, and discharges his judgment or an amount thereof equal to said debt or claim, the Secretary shall execute a discharge of the debt due from the plaintiff to the United States. But if such plaintiff, or claimant, denies his indebtedness to the United States, or refuses to consent to the set-off, then the Secretary shall withhold payment of such further amount of such judgment, or claim, as in his opinion will be sufli. cient to cover all legal charges and costs in prosecuting the debt of the United States to final judgment. And if such debt is not already in suit, it shall be the duty of the Secretary to cause legal proceedings to be immediately The accounting officers of the Treasury will not approve powers of attorney to demand and receive moneys due upon claims against the United States when such powers are not executed in accordance with the provisions of section 3477 of the Revised Statutes. (1 Compt. Dec., 142.) Section 3477 of the Revised Statutes, making null and void all assignments and powers of attorney to collect any claim or demand against the Government (unless the power of attorney is given after the settlement of the claim and the issuance of the warrant in payment) applies to liquidated, certain, and undisputed demands as well as to those which are unliquidated, uncertain, or disputed. (Ibid., 276.) Under the decisions of the courts the accounting officers are required, notwithstanding the provisions of section 3477 of the Revised Statutes, to credit disbursing officers with payments actually made by them under powers of attorney, provided it is shown that, at the time of such payment, such powers are undisputed and have not been revoked, either by the volun tary action of the principal or by his death. (Ibid., 142, 431.) The assignment of a quartermaster's voucher, unless made "after the allowance of such a claim" and in conformity with all the other requirements of section 3477 of the Revised Statutes, is absolutely null and void." The exigencies of the war and of the Government service immediately after the war, which at one time were relied upon to support the practice of paying the assignees of such vouchers, can not be made available in deciding cases now arising. (3 Dig., Compt. Dec., 45.) |